GLOBAL ASPECTS OF ENTREPRENEURSHIP

GLOBAL ASPECTS OF ENTREPRENEURSHIP

STRATEGIES FOR GOING GLOBAL

Creating a world wide web Relying on intermediaries Creating joint venture Foreign licensing Contra trading and bartering Exporting Establishing international location

CREATING A WORLD WIDE WEB STEP1.Connecting to e-mail E-mail gives entrepreneurs the ability to communicate with

customers anywhere in the world. Less expansive than international telephone calls. STEP2. Using the web to conduct international market research They explore the web's capacity to generate sales leads by

researching customers and market strategies in other countries. STEP3. Building a globally accessible web site Through making a website they can offer products and services in

other countries.

TRADE INTERMEDIARIES

*EXPORT MANAGEMENT COMPANIESMerchant intermediaries that provide small business with a

low cost, efficient, off-site international marketing department.

*EXPORT TRADING COMPANIESBusinesses that buy and sell products in a number of

countries and offer a wide variety of services to their clients.

*MANUFACTURER S EXPORT AGENTSManufacturers export agents act as international sales

representatives in a limited number of markets for various noncompeting domestic companies.

*EXPORT MERCHANTSDomestic wholesalers that do business in foreign

markets. They buy goods from many domestic manufacturers and then market them in foreign markets.

*RESIDENT BUYING OFFICESAnother approach to exporting is to sell to a

resident buying office, a government owned or privately owned operation of one country established in another country for the purpose of buying goods made there.

*FOREIGN DISTRIBUTORSDomestic small companies export their products

to distributors that handle all of the marketing , distribution, and service function.

JOINT VENTURESJoint ventures both domestic and foreign

lower the risk of entering global markets for small businesses. They also give small companies more clout in foreign lands.

DOMESTIC JOINT VENTURE

FOREIGN JOINT VENTURE

FOREIGN LICENCINGRather than sell their products or services

directly to customers overseas, some small companies enter foreign markets by licensing businesses in other nations to use their patents, trademarks, copyrights, technology, process, or products.

INTERNATIONAL FRANCHISING To boost sales and profits as the domestic

market has become increasingly saturated with outlets and much tougher to wring

growth form.

COUNTER TRADING AND BARTERINGCounter Trade is a transaction in which a

company selling goods in a foreign country agrees to promote investment and trade in that country.

Bartering The exchange of goods and services for

other goods and services.

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